Acquirers Turn Fraud Intelligence Into Competitive Edge

Acquirers are packaging fraud intelligence as a commercial offering as merchants add fraud performance metrics to procurement decisions. Visa lowered its Acquirer Monitoring Program (VAMP) ratio in April 2026 from 220 to 150, increasing portfolio-wide scrutiny of fraud and dispute levels.

Merchants include false positive rates and chargeback handling in requests for proposals alongside price. The Merchant Risk Council found that in 2026 about 65% of merchants estimate their e-commerce false positive rates fall between 2% and 10%.

Industry estimates project global merchant losses from false positives will exceed $231 billion in 2026, while forecast card fraud losses are $39.6 billion. False positives occur when legitimate orders are declined; those declines can reduce merchant revenue and customer retention.

Visa’s April 2026 VAMP change reduced the VAMP ratio — defined as combined fraud and dispute counts divided by settled Visa transactions — from 220 to 150. A lower threshold increases acquirer accountability for portfolio-wide fraud and dispute ratios because card schemes and regulators monitor those metrics and expect remediation where thresholds are breached. Acquirers retain liability when merchants cannot absorb losses.

Acquirers are adopting technologies and operational changes to lower false positives and manage disputes. Artificial intelligence is used for real-time decisioning across channels and payment types. Digital identity and network intelligence are applied to build richer customer profiles and distinguish legitimate transactions from fraud attempts. Greater model explainability and faster dispute workflows are used to reduce merchant friction and speed recoveries.

Providers and banks are testing commercial approaches to sell these capabilities. Strategies include positioning fraud performance as a sales differentiator, offering tiered pricing tied to dispute-handling service levels, and bundling analytics and identity services as value-added products. Improving chargeback operations is presented as a way to cut costs and support merchant retention.

A webinar is scheduled to examine how acquirers can adapt to the changing landscape and apply fraud prevention tools in sales and operations. Industry experts will discuss technology, process and compliance considerations.

Background shows why commercial pressure on acquirers is rising: false positives represent a larger overall revenue loss for merchants than direct fraud losses, and card schemes have tightened oversight of acquirer portfolios. Changes to scheme thresholds and regulatory expectations have increased reporting and remediation requirements, prompting acquirers to deploy faster, more accurate fraud controls and to show measurable outcomes during contract talks.